Question: QUESTION 2 18 points Save Answer Charles, Annie and Sally founded the CAS Company, LLC, an LLC in the business of selling used computer equipment

QUESTION 2 18 points Save Answer Charles, Annie

QUESTION 2 18 points Save Answer Charles, Annie and Sally founded the "CAS Company, LLC," an LLC in the business of selling used computer equipment to schools and non-profit groups in the New York - Metropolitan area. Under the LLC's operating agreement, each member had the right to make "any and all agreements" regarding the buying and selling of computer equipment to "any and all public school districts and public libraries" in the United States. Sally was given an additional power to make "any and all agreements regarding any other normal course of business" without the approval of Charles and Annie, because Sally had contributed the most capital to the LLC and had the most extensive business experience. A few months later, Sally made an agreement to sell all of the LLC's assets (including desktops, laptops, disk drives and software) and the office building which the firm owned) to Alexander Roberts for a sum of $1 million. As a "token of appreciation for this agreement," Roberts decided to give Sally a check for $5,000 made out to Sally. Sally accepted and cashed the check. When the other members of the CAS Company found out about Sally's agreement with Roberts, they refused to carry it out, claiming that Sally did not have the power to make such an agreement. Roberts sued the CAS Company for breach of contract. Then, Charles and Annie sued Sally for her actions. Discuss whether: (A) the LLC is required to perform the contract with Roberts. Why or why not? (10 credits). (B) whether the LLC can collect from Sally and if so, how much in damages can be collected? (8 credits)

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